Celanese may build $425MM acetic acid plant in Pasadena

Celanese is deciding whether to construct a $425 million acetic acid facility at its Clear Lake complex in Pasadena, Texas, that would have an annual capacity of 800,000 metric tons with the option for future expansion, stated American Chemistry Council.

If the company moves forward with the investment, the project would likely begin operations in September 2021. Celanese aims to apply for construction permits this month and then break ground in January 2020, according to an application for tax relief.

"This project delivers unique network rate flexibility, improved cost structure of the global acetic acid product portfolio and a platform easily expandable by an additional 600 kilo tons per annum," the company stated on its website.

The expansion will facilitate productivity options within its global acetic acid network in both Singapore and Nanjing, China leading to approximately 600 kilo tons per annum of production rationalization and limited net change in total system tonnage.

"These projects will generate approximately $100 million of productivity and efficiency benefits across the platform as completed," Celanese said.